Demolition in final stages at CityGate project

Anthony J. Costello & Son Development LLC is in the final stages of demolition of some 250,000-square-feet of buildings at its CityGate project, a $250 million development on 45 acres in the city.

The demolition has been ongoing the past one and a half months following a 62-day city approval process, the company said.

Anthony Costello, chairman and CEO of The Costello Group and CEO of Anthony J. Costello & Son Development, said the last two buildings should be demolished in the next three weeks. That will be followed by site and infrastructure work.

CityGate is slated to include the construction of a warehouse club location for Costco Wholesale Corp., which is to begin in late May/early June, Costello said.

Costco is proposing to build a 150,000-square-foot warehouse club that would anchor CityGate, which is located at Westfall and East Henrietta roads at the site of the former Monroe County Iola Campus. Costco plans to invest some $30 million and add up to 300 full-time jobs. The company plans to open the store in late summer to early fall.

Plans for CityGate include a hotel, 300 two- and three-bedroom residential units overlooking the Erie Canal, and additional retail and commercial space. There will be eight standalone buildings on the site.

Costello is partnering with Morgan Management LLC on the residential portion of CityGate.

Plans also call for a satellite transit center, including a 90,000-square-foot parking garage. Working with the Rochester Genesee Regional Transportation Authority, Costello has secured $6 million in state funding for the transit center.

CityGate will complement the nearby Reserve on the Erie Canal, a $180 million residential community his company is building on the east side of South Clinton Avenue in Brighton, he said.